*********************************************************
The Government announced today (November 30) its financial results for the seven months ended October 31, 2007.
There was a surplus of $23.8 billion in October, thereby bringing a net surplus of $18.2 billion up to end of October 2007. Expenditure for the period April to October 2007 amounted to $133.3 billion and revenue $151.5 billion.
A government spokesman explained that the financial results improved in October mainly due to the collection of profits tax and the sales proceeds for the land sold in September. We expect that the overall financial results for 2007-08 will be better than the original estimate of a consolidated surplus of $25.4 billion.
The fiscal reserves stood at $387.5 billion as at October 31, 2007.
More detailed figures are shown in Tables 1 and 2.
TABLE 1. CONSOLIDATED ACCOUNT
Month ended Seven months ended
October 31, 2007 October 31, 2007
--------------- ----------------
HK$ million HK$ million
Revenue 44,392.3 151,452.1
Expenditure (20,583.7) (133,256.7)
---------- -----------
Surplus 23,808.6 18,195.4
-------- ----------
Financing
Domestic
Banking Sector(Note 1) (23,360.6) (20,077.9)
Non-Banking Sector (448.0) 1,882.5
External - -
--------- --------
Total (23,808.6) (18,195.4)
---------- ----------
Government Debts as at
October 31, 2007 (Note 2)
HK$20,391.0 million
Debts Guaranteed by Government
as at October 31, 2007 (Note 3)
HK$4,557.4 million
TABLE 2. FISCAL RESERVES
Month ended Seven months ended
October 31, 2007 October 31, 2007
---------------- ----------------
HK$ million HK$ million
Fiscal Reserves
at start of period 363,651.0 369,264.2
Add : Consolidated
Surplus 23,808.6 18,195.4
--------- --------
Fiscal Reserves at
end of period 387,459.6 387,459.6
--------- ---------
Notes :
1. Includes transactions with the Exchange Fund and resident banks.
2. The total government debts of $20,391.0 million as at October 31, 2007, comprise :
(i) Toll Revenue Bond of $3,003.1 million to be repaid to Hong Kong Link 2004 Limited by the net toll revenue receivable of government tolled tunnels and bridges. The outstanding Toll Revenue Bond will
mature by May 2016 but may be fully repaid before then; and
(ii) Retail bonds and institutional notes totalling $17,387.9 million (including US$1.25 billion denominated in United States dollars). Of the outstanding amount, the retail bonds of $2,700 million will mature in July 2008 and the institutional notes totalling $14,687.9 million will
mature within the period July 2009 to July 2019.
3. Includes guarantees provided under the Special Finance Scheme for Small and Medium Enterprises, the SME Loan Guarantee Scheme, the Film Guarantee Fund and the Loan Guarantee Scheme for Severe Acute Respiratory Syndrome Impacted Industries.
Ends/Friday, November 30, 2007
Issued at HKT 16:15
NNNN
